How to Become a Debt Consolidator
Becoming a debt consolidator is another way of becoming a loan officer. A debt consolidator cannot make debt consolidation loans without first achieving loan officer status. In some cases, such as with credit counselors, debt consolidators are not loan officers.
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Instructions
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Enroll in some form of academic study. While loan officers often do not need a bachelor's degree, an associate's degree may be in your best interest. At the very least, a successful loan officer will have a high school diploma or a high school equivalency degree. Courses successful loan officers take include financial accounting, communications, calculus and accounting. Communications courses will help you develop the strong people skills necessary to succeed.
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Obtain an internship or apprenticeship with a lender in your area. Attempt to stay local so that you can easily manage the commute, since internships are often unpaid. Sometimes internships are at local banks. However, many local banks do not offer consolidation loans. Instead, they offer rigid mortgage products (usually only fixed-rate, closed-end). You may want to cast a wider net when applying for internships to include finance companies, like CitiFinancial.
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Consider a weekend loan officer training program. These programs have grown in popularity as the field of lending has grown. Although various options are online, it's best to gather recommendations from friends, family or colleagues who've taken advantage of such courses in the past.
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Learn how consolidation benefits borrowers. During your internship, learn the different types of consolidation. Often borrowers take advantage of longer terms (loan lengths) to reduce payments. In some cases, borrowers have disposable income and want to pay down debts faster, so they opt for smaller terms. In other cases, borrowers consolidate only loans with high payments to reduce their monthly outgo. Listen to what the customer is saying so that you can offer the most beneficial programs.
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Apply for a job at the company where you performed your internship. If you cannot get hired at this company, make sure to get references and letters of recommendation from your boss as well as other colleagues. These recommendations should help you secure a position as a debt consolidator elsewhere.
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